NZ shares routed as ANZ forecasts OCR to hit 3%

The S&P/NZX 50 Index fell 202 points, or 1.6%, to 12,612.31. Turnover was $116 million.

Local shares were already off to a weak start this morning as global interest rates continued to push higher, putting pressure on equity markets.

Key equity indices on Wall Street dropped overnight as US traders returned from a long weekend and were greeted by US 10-year bond yields at a two-year high.

“Technology stocks were weaker with the Nasdaq down nearly 2%, as investors remain cognisant of the valuation implications of rising interest rates for high priced growth stocks,” said Greg Smith, Devon Fund’s head of retail.